Strategic Scaling of Malaysia's Aerospace MRO Industry: A Conceptual Framework for Enhancing Global Competitiveness

The global aerospace Maintenance, Repair and Overhaul (MRO) industry has become an integral part of the global aviation ecosystem driven by rising demand for advanced maintenance capabilities, digital technologies and value-added service solutions. With Malaysia’s aspiration to strengthen its position as a regional aerospace hub through the Malaysia Aerospace Industry Blueprint 2030, the industry is increasingly being pressured to shift from conventional labour-intensive maintenance activities to high-value aerospace services that are driven by innovation. This conceptual paper seeks to fill this gap by providing an integrated framework that explains the strategic factors influencing the global competitiveness of Malaysia in aerospace MRO. The proposed framework is developed through a critical review and synthesis of the extant literature and is grounded in the Resource-Based View (RBV), Dynamic Capabilities Theory and the Global Value Chain (GVC) perspective. The framework recognised Digital Transformation (DT), High-Value Services (HVS), Regional Expansion (RE), Quality Management (QM) and Institutional Support (IS) as the main strategic drivers that collectively improve Malaysia’s global competitiveness in aerospace MRO. This paper contributes to aerospace management literature by proposing a holistic conceptual model integrating technological, organisational and institutional dimensions into a unified strategic perspective for industry scaling. The proposed framework also provides practical guidance for policymakers, aerospace organisations and industry stakeholders to formulate long-term strategies to enhance Malaysia’s competitiveness as a sustainable and globally recognised aerospace MRO hub

Aerospace MRO; Digital Transformation; High-Value Services; Institutional Support; Global Competitiveness

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